Vacant bayfront land near downtown sees plans for hotel, apartments and retail

His dream of owning a hotel is close to becoming a reality with plans to break ground in four months on a 54-room boutique hotel two blocks from the bay.

While some prospective developers are waiting for firm business plans for the park, spearheaded by the group Destination Bayfront, others like Martin are moving full steam ahead in the area around the proposed park.

Martin's hotel project on Water Street called The Kinney might be the first of proposed bayfront plans to break ground. He is shoring up financing with a group of about 15 investors known as Kinney Hotel Partners LTD.

Urban apartments with ground-level retail are some of the other new plans for vacant bayfront land along Shoreline Boulevard and South Water Street where development plans remained idle for years. The land primarily used in the past for overflow parking could make vertical strides this year, according to local investors, real estate brokers and developers.

Some developers trace the recent flurry of plans to a City Council decision two years ago to demolish Memorial Coliseum after years of public debate. The move gave a vote of confidence for development and created uninterrupted views of the waterfront for about 11 acres of vacant land across the street.

It, too, cleared the way for public support behind an effort to build the signature park on the 34 acres of city land, an idea fostered by a group of business leaders known as Destination Bayfront.

The final Destination Bayfront plans and a funding source are still under discussion. A final public presentation is expected next month, and leaders might ask for a November bond election to secure some public funding.

Some developers say they are moving forward with projects no matter what happens with the city land. But they say plans for the park would enhance business and development there.

The climate for developing the land is the best investor Marcel Wisznia has seen in 10 years since he and his father, Walter Wisznia, the late famed architect who shaped much of the city's downtown skyline, bought 2 acres along Shoreline Boulevard.

He previously pitched a proposal for the city bayfront land in 2006 that included building an 84-unit condominium complex called Buena Vista, but he scrapped plans after the city instead chose to negotiate with another firm.

The property is for sale, but recently Wisznia decided to pursue plans of his own again.

Wisznia is moving forward with a preliminary design for a mixed-use development that would have about 140 apartments and 20,000 square feet of ground floor commercial or retail space. He expects the project to break ground in the next 15 months. His plans do not depend on Destination Bayfront following through with the park concept, he said.

"We think the amenities are still there to make it successful, but the experience for the resident will be better once Destination Bayfront is in place," Wisznia said.

Another empty tract along Shoreline Boulevard recently sold to TR InScore, a Cypress-based development company with a history of high-end residential development across Texas, including two projects on Post Oak Boulevard in Houston. One of those projects is a 32-story apartment building at 1200 Post Oak valued at $64 million, according to its website. The land purchased on Shoreline Boulevard is about 1.25 acres. Company officials could not be reached for comment.

Destination Bayfront leaders have fielded several inquiries from developers interested in nearby property and wanting to know more about the park plans, group organizer Trey McCampbell said.

There is no overlay district in place to guide development of the area, which means there is nothing to prevent a developer from building a high-rise along Shoreline Boulevard to overlook the park. To work around that, McCampbell said he and park designers Hargreaves Associates have spent time explaining how the private land, when developed, could enhance the park experience.

A retail area with ground-level shops and restaurants on Shoreline Boulevard would be ideal, McCampbell said. Many of the private plans presented to the group include a mixed-use project with commercial and residential space.

"Our bayfront is our asset, and so whatever they build there is going to be there for a while," McCampbell said. "So what we want is a high-quality project that would stimulate activity in downtown."

Still there are vacant pieces of property for sale without suitors.

Real estate broker Rick Dupriest, who has a property listed along Shoreline Boulevard, said the interest comes and goes with the news coverage of the park land. Most of the calls have been from out-of-town investors who he thinks won't commit until more happens to guarantee the park project.

"The city could decide to build a parking garage, and I think there's some apprehension until the street is realigned," Dupriest said. "You don't want to build the hotel and have the street torn up the next year."

Construction is expected to begin in June to realign the northbound lanes of Shoreline Boulevard away from the bayfront. Voters approved about $13 million for the project and adjacent landscape improvements. City engineers are working with Destination Bayfront leaders to coordinate plans for the park and the street.

Broker Garron Dean, who has much of the vacant property listed for sale, has seen a frenzy of activity. He helped finalize the land sales for Martin's property and the tract sold to TR InScore.

"I think it's fixing to pop," he said. "Everyone in town has decided they want a piece of the land."